SOXY vs SPY

SOXY vs SPY

Which is better, SOXY or SPY?

Option Writing against Large Cap Blend.

SPY has a lower expense ratio. SOXY led over 1Y and the full window. SPY is less concentrated, with 38.0% of the fund in its ten largest positions against 48.2%.

Lower Fees: SPYHigher Returns: SOXYLess Concentrated: SPY

MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.

Side-by-Side Comparison

MetricSOXYSPY
Expense Ratio1.06%0.09%Best
AUM$63M$804.7B
Dividend Yield9.86%0.98%
Holdings86505
YTD Return+54.70%Best+11.52%
1Y Return+86.83%Best+17.48%
3Y Return (annualized)-+20.62%
5Y Return (annualized)-+12.73%
Volatility (annualized)39.6%12.7%Best
Max Drawdown-30.2%-18.8%Best
$10,000 over 1.8 years$22,022Best$12,862
Top 10 Weight48.2%38.0%Best
Fund FamilyYieldMax ETFState Street Investment Management
CategoryAlternativeEquity
StyleOption WritingLarge Cap Blend
InceptionDec 2, 2024Jan 22, 1993

Volatility and max drawdown, and the $10,000 over 1.8 years row, are measured over the window both funds cover: Dec 3, 2024 to Sep 10, 2026 (1.8 years).

SOXY vs SPY growth

Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 1.8 years both funds cover.

SOXY vs SPY Performance

YieldMax Target 12 Semiconductor Option Income ETF (SOXY) is an ETF from YieldMax ETF and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year SOXY returned +86.83% while SPY returned +17.48%. Year to date, SOXY is up 54.70% versus a gain of 11.52% for SPY.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SOXY has been the more volatile fund, with annualized monthly volatility of 39.6% compared with 12.7% for SPY. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.

The deepest peak-to-trough decline in our data was -30.2% for SOXY and -18.8% for SPY. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.72. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

SOXY charges 1.06% per year while SPY charges 0.09%. On a $10,000 position that is $106 vs $9 annually, a gap of $97 per year that compounds over a long holding period. On income, SOXY currently yields 9.86% against 0.98% for SPY.

Holdings Overlap

SOXY already in SPY63.8%
SPY already in SOXY17.6%

63.8% of SOXY's money is in holdings SPY also owns. 17.6% of SPY's money is in holdings SOXY also owns.

The two portfolios partly overlap.

18 positions in common, counted across the 29 positions we hold weights for in SOXY and 504 in SPY, against full books of 86 and 505.

What only one of them owns

Our book lists 476 positions for SPY that do not appear in our book for SOXY (82.0% of the fund), and 6 for SOXY that do not appear in SPY (16.7%).

Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.

Top Shared Holdings

StockWeight in SOXYWeight in SPYDifference
NVDANvidia Corp.6.67%7.71%1.04%
AVGOBroadcom Inc4.66%2.97%1.69%
AMDAdvanced Micro Devices Inc.5.19%1.27%3.92%
MUMicron Technology, Inc.4.94%1.51%3.43%
MRVLMarvell Technology Group Ltd5.10%0.29%4.81%
LRCXLam Research Corpcommon Stock4.53%0.60%3.93%
AMATApplied Materials, Inc.3.86%0.65%3.21%
INTCIntel Corp.3.29%0.72%2.57%
KLACKla Corp.3.50%0.38%3.12%
TXNTexas Instruments, Inc3.24%0.39%2.85%

63.8% of SOXY is already inside SPY.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

SOXYSPY

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Frequently Asked Questions

Which is cheaper, SOXY or SPY?

SOXY has an expense ratio of 1.06% while SPY charges 0.09%. SPY is the cheaper option, by $97 a year on a $10,000 investment.

Which performed better, SOXY or SPY?

Over the past year SOXY returned +86.83% vs +17.48% for SPY, so SOXY leads on 1-year performance. Over the longest common window we track (2 years), SOXY annualized +55.05% vs +15.01% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, SOXY or SPY?

SOXY has been the more volatile fund at 39.6% annualized versus 12.7% for SPY. Worst drawdown: SOXY -30.2% vs SPY -18.8%.

Should I hold both SOXY and SPY?

SOXY and SPY have a monthly-return correlation of 0.72, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

What is the holdings overlap between SOXY and SPY?

63.8% of SOXY's money is in holdings SPY also owns. 17.6% of SPY's is in holdings SOXY also owns. They hold 18 positions in common, counted across the 29 positions we hold weights for in SOXY and 504 in SPY.

Which pays a higher dividend, SOXY or SPY?

SOXY yields 9.86% while SPY yields 0.98%, so SOXY currently pays the higher dividend yield.

Is SPY better than SOXY?

SPY has a lower expense ratio. SOXY led over 1Y and the full window. SPY is less concentrated, with 38.0% of the fund in its ten largest positions against 48.2%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.